Technology

TTEC Announces Fourth Quarter and Full Year 2023 Financial Results

Published

9 months ago

February 29, 2024

Full Year 2023
Revenue was $2.463 Billion, up 0.8 Percent
Operating Income was $118.0 Million or 4.8 Percent of Revenue
($200.4 Million or 8.1 Percent of Revenue Non-GAAP)
Net Income was $18.3 Million or 0.7 Percent of Revenue
($103.2 Million or 4.2 Percent of Revenue Non-GAAP)
Adjusted EBITDA was $271.5 Million or 11.0 Percent of Revenue
Fully Diluted EPS was $0.39, $2.18 Non-GAAP

Fourth Quarter 2023
Revenue was $626.2 Million, down 4.9 Percent
Operating Income was 16.9 Million or 2.7 Percent of Revenue
($41.8 Million or 6.7 Percent of Revenue Non-GAAP)
Net Income was ($8.2) Million or (1.3) Percent of Revenue
($17.5 Million or 2.8 Percent of Revenue Non-GAAP)
Adjusted EBITDA was $57.5 Million or 9.2 Percent of Revenue
Fully Diluted EPS was ($0.17), $0.37 Non-GAAP

Provides Outlook for Full Year 2024

DENVER, Feb. 29, 2024 /PRNewswire/ — TTEC Holdings, Inc. (NASDAQ:TTEC), a leading global CX (customer experience) technology and services innovator for AI-enabled CX with solutions from TTEC Engage and TTEC Digital, announced today financial results for the fourth quarter and full year ended December 31, 2023.

“As we have previously communicated, 2023 was a dynamic year for TTEC. The macroeconomic factors created a conservative and uncertain business environment that delayed client contracting decisions and lowered forecasts for certain clients in the second half of the year. While these factors moderated our results, we continued to make progress diversifying our business by growing our client base, completing a strategic phase of our geographic expansion, and expanding our AI-enabled solutions,” commented Ken Tuchman, chairman and chief executive officer of TTEC.

“Our 2024 outlook reflects three very specific challenges in our TTEC Engage segment. First, client budget constraints and a conservative mindset in the second half of 2023 is carrying forward into our 2024 outlook. Second, a long-tenured client eliminated one of several lines of business that we supported. While our relationship remains strong with this client and we continue to service their customers across multiple other lines of business, the discontinuation of this one line of business contributes to the impact on our top and bottom line in 2024. Third, while we are pleased by the growing demand for our new offshore locations, the timing lag between our recent wins and normalized revenue run rate and margins is weighing on our outlook,” Tuchman continued.

“In TTEC Digital, we delivered record bookings in the fourth quarter and the team is off to a strong start this year. Demand for our differentiated CX technology expertise continues to grow as cloud migrations and AI solutions drive our clients’ CX digital transformation agendas.”

Tuchman further stated, “As we move into 2024, we are laser focused on execution. We will continue to capitalize on our greatly expanded offshore footprint, deepen our relationships with new and existing clients, apply our AI-enabled solutions and accelerate our margin optimization initiatives.”

“TTEC’s board of directors’ decision to reduce the dividend reflects a prudent shift to prioritize our capital deployment towards continued investments in sustainable growth initiatives and debt reduction associated with strategic acquisitions. As revised, the dividend is in line with our stock price and the dividend yield typical for our industry and the broader market. I am confident we are well positioned to emerge stronger as we exit 2024.”

FULL YEAR 2023 FINANCIAL HIGHLIGHTS

Revenue

Full year 2023 GAAP revenue increased 0.8 percent to $2.463 billion compared to $2.444 billion in the prior year. Foreign exchange had a $4.4 million positive impact on revenue for the full year 2023.

Income from Operations

Full year 2023 GAAP income from operations was $118.0 million, or 4.8 percent of revenue, compared to $168.5 million, or 6.9 percent of revenue in the prior year.Non-GAAP income from operations, excluding restructuring and impairment charges, equity-based compensation expenses, amortization of purchased intangibles, and other items, was $200.4 million, or 8.1 percent of revenue, compared to $248.5 million, or 10.2 percent in the prior year.Foreign exchange had a $2.2 million negative impact on Non-GAAP income from operations for the full year 2023.

Adjusted EBITDA

Full year 2023 Non-GAAP Adjusted EBITDA was $271.5 million, or 11.0 percent of revenue, compared to $320.1 million, or 13.1 percent of revenue in the prior year.

Earnings Per Share

Full year 2023 GAAP fully diluted earnings per share was $0.39 compared to $2.48 in the prior year.Non-GAAP fully diluted earnings per share was $2.18 compared to $3.59 in the prior year.

FOURTH QUARTER 2023 FINANCIAL HIGHLIGHTS

Revenue

Fourth quarter 2023 GAAP revenue decreased 4.9 percent to $626.2 million compared to $658.3 million in the prior year. Foreign exchange had a $5.5 million positive impact on revenue in the fourth quarter of 2023.

Income from Operations

Fourth quarter 2023 GAAP income from operations was $16.9 million, or 2.7 percent of revenue, compared to $48.7 million, or 7.4 percent of revenue in the prior year.Non-GAAP income from operations, excluding restructuring and impairment charges, equity-based compensation expenses, amortization of purchased intangibles, and other items, was $41.8 million, or 6.7 percent of revenue, compared to $69.9 million, or 10.6 percent for the prior year.Foreign exchange had a $2.4 million negative impact on Non-GAAP income from operations in the fourth quarter 2023.

Adjusted EBITDA

Fourth quarter 2023 Non-GAAP Adjusted EBITDA was $57.5 million, or 9.2 percent of revenue, compared to $86.5 million, or 13.1 percent of revenue in the prior year.

Earnings Per Share

Fourth quarter 2023 GAAP fully diluted earnings per share was ($0.17) compared to $0.54 in the prior year.Non-GAAP fully diluted earnings per share was $0.37 compared to $0.91 in the prior year.

STRONG CASH FLOW AND BALANCE SHEET FUND INVESTMENTS AND DIVIDENDS

Cash flow from operations in the fourth quarter 2023 was $31.5 million compared to $18.2 million for the fourth quarter 2022. For the full year 2023, cash flow from operations was $144.8 million compared to $137.0 million for the same period 2022.Capital expenditures in the fourth quarter 2023 were $13.1 million compared to $19.4 million for the fourth quarter 2022. For the full year 2023, capital expenditures were $67.8 million compared to $84.0 million for the same period 2022.As of December 31, 2023, TTEC had cash and cash equivalents of $172.7 million and debt of $999.3 million, resulting in a net debt position of $826.5 million. This compares to a net debt position of $810.2 million for the same period 2022.As of December 31, 2023, TTEC’s remaining borrowing capacity under its revolving credit facility was approximately $90 million compared to $335 million for the same period 2022.On February 27, 2024, the Board declared the next semi-annual dividend of $0.06 per share, or $2.9 million, payable on April 30, 2024 to shareholders of record as of April 3, 2024. TTEC’s board of directors’ decision to reduce the dividend reflects a prudent shift to prioritize our capital deployment towards continued investments in sustainable growth initiatives and debt reduction associated with strategic acquisitions.TTEC paid a $0.52 per share, or $24.7 million, semi-annual dividend on October 31, 2023.

SEGMENT REPORTING & COMMENTARY

TTEC reports financial results for the following two business segments: TTEC Digital (Digital) and TTEC Engage (Engage). Financial highlights for the two segments are provided below.

TTEC Digital – Design, build and operate tech-enabled, insight-driven CX solutions

Fourth quarter 2023 GAAP revenue for TTEC Digital decreased 2.1 percent to $119.1 million from $121.7 million for the year ago period. Income from operations was $10.0 million or 8.4 percent of revenue compared to an operating income of $9.9 million or 8.2 percent of revenue in the prior year. Non-GAAP income from operations was $17.7 million, or 14.8 percent of revenue compared to operating income of $18.0 million or 14.8 percent of revenue in the prior year.

TTEC Engage – Digitally-enabled customer care, acquisition, and fraud mitigation services

Fourth quarter 2023 GAAP revenue for TTEC Engage decreased 5.5 percent to $507.1 million from $536.6 million for the year ago period. Income from operations was $6.9 million or 1.4 percent of revenue compared to operating income of $38.8 million, or 7.2 percent of revenue in the prior year.Non-GAAP income from operations was $24.1 million, or 4.8 percent of revenue, compared to operating income of $52.0 million, or 9.7 percent of revenue in the prior year.Foreign exchange had a $5.3 million positive impact on revenue and $1.9 million negative impact on income from operations.

BUSINESS OUTLOOK

“We ended 2023 in line with expectations but the recent dynamics in the Engage segment are causing a reduction in our 2024 revenue and margin outlook compared to 2023. We are confident in the initiatives currently in motion that focus on growth and margin improvement,” commented Francois Bourret, interim chief financial officer of TTEC. “As digital transformation continues to be a top priority for our clients, we are encouraged by the growing momentum with TTEC Digital. As we move forward, we will navigate this environment to position the company to exit 2024 with a view towards longer-term profitable growth.”

TTEC First Quarter and Full Year 2024 Outlook

First Quarter 2024
Guidance

First Quarter 2024
Mid-Point

Full Year 2024
Guidance

Full Year 2024
Mid-Point

Revenue

$559M — $569M

$564M

$2,275M — $2,365M

$2,320M

Non-GAAP adjusted EBITDA

$52M — $58M

$55M

$215M — $259M

$237M

Non-GAAP adjusted EBITDA margins

9.3% — 10.2%

9.8 %

9.5% — 11.0%

10.2 %

Non-GAAP operating income

$36M — $42M

$39M

$150M — $194M

$172M

Non-GAAP operating income margins

6.4% — 7.4%

6.9 %

6.6% — 8.2%

7.4 %

Interest expense, net

($20M) — ($22M)

($21M)

($77M) — ($79M)

($78M)

Non-GAAP adjusted tax rate

23% — 25%

24 %

23% — 25%

24 %

Diluted share count

47.4M — 47.6M

47.5M

47.4M — 47.6M

47.5M

Non-GAAP earnings per a share

$0.25 — $0.34

$0.30

$1.15 — $1.86

$1.51

Engage First Quarter and Full Year 2024 Outlook

First Quarter 2024
Guidance

First Quarter 2024
Mid-Point

Full Year 2024
Guidance

Full Year 2024
Mid-Point

Revenue

$453M — $457M

$455M

$1,790M — $1,850M

$1,820M

Non-GAAP adjusted EBITDA

$41M — $45M

$43M

$149M — $179M

$164M

Non-GAAP adjusted EBITDA margins

9.2% — 9.9%

9.5 %

8.4% — 9.7%

9.0 %

Non-GAAP operating income

$28M — $32M

$30M

$95M — $125M

$110M

Non-GAAP operating income margins

6.2% — 7.0%

6.6 %

5.3% — 6.8%

6.1 %

Digital First Quarter and Full Year 2024 Outlook

First Quarter 2024
Guidance

First Quarter 2024
Mid-Point

Full Year 2024
Guidance

Full Year 2024
Mid-Point

Revenue

$106M — $112M

$109M

$485M — $515M

$500M

Non-GAAP adjusted EBITDA

$11M — $13M

$12M

$66M — $80M

$73M

Non-GAAP adjusted EBITDA margins

10.1% — 11.3%

10.7 %

13.5% — 15.5%

14.5 %

Non-GAAP operating income

$8M — $10M

$9M

$55M — $69M

$62M

Non-GAAP operating income margins

7.6% — 8.9%

8.3 %

11.2% — 13.3%

12.3 %

The Company has not quantitatively reconciled its guidance for Non-GAAP operating income, Non-GAAP operating income margins, Non-GAAP adjusted EBITDA, Non-GAAP adjusted EBITDA margins, or Non-GAAP earnings per share to their respective most comparable GAAP measures because certain of the reconciling items that impact these metrics, including restructuring and impairment charges, equity-based compensation expense, changes in acquisition contingent consideration, depreciation and amortization expense, and provision for income taxes are dependent on the timing of future events outside of the Company’s control or cannot be reliably predicted. Accordingly, the Company is unable to provide reconciliations to GAAP operating income, operating income margins, EBITDA margins, and diluted earnings per share without unreasonable effort. Please note that the unavailable reconciling items could significantly impact the Company’s 2024 financial results as reported under GAAP.

NON-GAAP FINANCIAL MEASURES

This press release contains a discussion of certain Non-GAAP financial measures that the Company includes to allow investors and analysts to measure, analyze and compare its financial condition and results of operations in a meaningful and consistent manner. A reconciliation of these Non-GAAP financial measures can be found in the tables accompanying this press release.

GAAP metrics are presented in accordance with Generally Accepted Accounting Principles.Non-GAAP – As reflected in the attached reconciliation table, the definition of Non-GAAP may exclude from operating income, EBITDA, net income and earnings per share restructuring and impairment charges, equity-based compensation expenses, amortization of purchased intangibles, among other items.

ABOUT TTEC

TTEC (pronounced T-TEC) Holdings, Inc. (NASDAQ:TTEC) is a leading global CX (customer experience) technology and services innovator for AI-enabled digital CX solutions. Serving iconic and disruptive brands, TTEC’s outcome-based solutions span the entire enterprise, touch every virtual interaction channel, and improve each step of the customer journey. Leveraging next-gen digital technology, the Company’s TTEC Digital business designs, builds, and operates omnichannel contact center technology, CRM, AI and analytics solutions. The Company’s TTEC Engage business delivers AI-enabled customer engagement, customer acquisition and growth, tech support, back office, and fraud prevention services. Founded in 1982, the company’s singular obsession with CX excellence has earned it leading client, customer, and employee satisfaction scores across the globe. The Company’s over 60,000 employees operate on six continents and bring technology and humanity together to deliver happy customers and differentiated business results. To learn more visit us at https://www.ttec.com.

FORWARD-LOOKING STATEMENTS

This Earnings Press Release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and the Private Securities Litigation Reform Act of 1995., Forward-looking statements include, but are not limited to, statements relating to our operations, expected financial position, results of operation, effective tax rate, cash flow, leverage, liquidity, business strategy, competitive position, demand for our services in international operations, acquisition opportunities and impact of acquisitions, capital allocation and dividends, growth opportunities, spending, capital expenditures and investments, competition and market forecasts, industry trends, our human capital resources, and other business matters that are based on our current expectations, assumptions, and projections with respect to the future, and are not a guarantee of performance.

In this Release when we use words such as “may,” “believe,” “plan,” “will,” “anticipate,” “estimate,” “expect,” “intend,” “project,” “would,” “could,” “target,” or similar expressions, or when we discuss our strategy, plans, goals, initiatives, or objectives, we are making forward-looking statements. Unless otherwise indicated or except where the context otherwise requires, the terms “TTEC,” “the Company,” “we,” “us” and “our”and other similar terms in this report refer to TTEC Holdings, Inc. and its subsidiaries. We caution you not to rely unduly on any forward-looking statements. Actual results may differ materially from those expressed in the forward-looking statements, and you should review and consider carefully the risks, uncertainties, and other factors that affect our business and may cause such differences as outlined in Item 1A. Risk Factors in our Annual Report on Form 10-K for the year ended December 31, 2023 and any subsequent filings with the U.S. Securities and Exchange Commission (the “SEC”) which are available on TTEC’s website www.ttec.com, and on the SEC’s public website at www.sec.gov

Our forward-looking statements speak only as of the date that this release is issued. We undertake no obligation to update them, except as may be required by applicable law. Although we believe that our forward-looking statements are reasonable, they depend on many factors outside of our control and we can provide no assurance that they will prove to be correct.

Corporate Comms

Investor Relations

Marji Chimes

Paul Miller

marji.chimes@ttec.com

paul.miller@ttec.com

TTEC HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except per share data)

Three months ended

Twelve months ended

December 31,

2023

2022

2023

2022

Revenue

$ 626,181

$ 658,278

$2,462,817

$2,443,707

Operating Expenses:

Cost of services

505,814

495,339

1,932,877

1,856,518

Selling, general and administrative

74,744

80,602

290,873

287,433

Depreciation and amortization

24,904

31,730

101,272

111,791

Restructuring charges, net

3,145

1,412

8,041

5,673

Impairment losses

650

450

11,733

13,749

Total operating expenses

609,257

609,533

2,344,796

2,275,164

Income From Operations

16,924

48,745

118,021

168,543

Other income (expense), net

(21,988)

(15,877)

(77,297)

(24,095)

(Loss) / Income Before Income Taxes

(5,064)

32,868

40,724

144,448

Provision for income taxes

(3,142)

(7,318)

(22,460)

(27,115)

Net (Loss) / Income

(8,206)

25,550

18,264

117,333

Net income attributable to noncontrolling interest

(1,694)

(3,197)

(9,836)

(14,093)

Net (Loss) / Income Attributable to TTEC Stockholders

$ (9,900)

$ 22,353

$ 8,428

$ 103,240

Net (Loss) / Income Per Share

Basic

$ (0.17)

$ 0.54

$ 0.39

$ 2.49

Diluted

$ (0.17)

$ 0.54

$ 0.39

$ 2.48

Net (Loss) / Income Per Share Attributable to TTEC Stockholders

Basic

$ (0.21)

$ 0.47

$ 0.18

$ 2.19

Diluted

$ (0.21)

$ 0.47

$ 0.18

$ 2.18

Income From Operations Margin

2.7 %

7.4 %

4.8 %

6.9 %

Net (Loss) / Income Margin

(1.3) %

3.9 %

0.7 %

4.8 %

Net (Loss) / Income Attributable to TTEC Stockholders Margin

(1.6) %

3.4 %

0.3 %

4.2 %

Effective Tax Rate

(62.0) %

22.3 %

55.2 %

18.8 %

Weighted Average Shares Outstanding

Basic

47,425

47,220

47,335

47,121

Diluted

47,503

47,299

47,419

47,335

TTEC HOLDINGS, INC. AND SUBSIDIARIES

SEGMENT INFORMATION

(In thousands)

Three months ended

Twelve months ended

December 31,

2023

2022

2023

2022

Revenue:

TTEC Digital

$ 119,118

$ 121,650

$ 486,882

$ 463,670

TTEC Engage

507,063

536,628

1,975,935

1,980,037

Total

$ 626,181

$ 658,278

$ 2,462,817

$ 2,443,707

Income From Operations:

TTEC Digital

$ 9,982

$ 9,924

$ 29,846

$ 34,895

TTEC Engage

6,942

38,821

88,175

133,648

Total

$ 16,924

$ 48,745

$ 118,021

$ 168,543

TTEC HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In thousands)

December 31,

2023

2022

ASSETS

Current assets:

Cash and cash equivalents

$ 172,747

$ 153,435

Accounts receivable, net

394,868

417,637

Prepaids and other current assets

95,064

133,365

Income and other tax receivables

18,524

45,533

Total current assets

681,203

749,970

Property and equipment, net

191,003

183,360

Operating lease assets

121,574

92,431

Goodwill

808,988

807,845

Other intangibles assets, net

198,433

233,909

Income and other tax receivables, long-term

44,673

–

Other assets

139,724

86,447

Total assets

$ 2,185,598

$ 2,153,962

LIABILITIES AND EQUITY

Current liabilities:

Accounts payable

$ 96,577

$ 93,937

Accrued employee compensation and benefits

146,184

145,096

Deferred revenue

81,171

87,846

Current operating lease liabilities

38,271

35,271

Other current liabilities

40,824

49,214

Total current liabilities

403,027

411,364

Long-term liabilities:

Line of credit

995,000

960,000

Non-current operating lease liabilities

96,809

69,575

Other long-term liabilities

75,220

79,273

Total long-term liabilities

1,167,029

1,108,848

Redeemable noncontrolling interest

–

55,645

Equity:

Common stock

474

472

Additional paid in capital

407,415

367,673

Treasury stock

(589,807)

(593,164)

Accumulated other comprehensive income (loss)

(89,876)

(126,301)

Retained earnings

870,429

911,233

Noncontrolling interest

16,907

18,192

Total equity

615,542

578,105

Total liabilities and equity

$ 2,185,598

$ 2,153,962

TTEC HOLDINGS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

Twelve months ended

December 31,

2023

2022

Cash flows from operating activities:

Net income

$ 18,264

$ 117,333

Adjustments to reconcile net income to net cash provided by operating activities :

Depreciation and amortization

101,272

111,791

Amortization of contract acquisition costs

2,288

2,065

Amortization of debt issuance costs

1,067

1,018

Imputed interest expense and fair value adjustments to contingent consideration

7,579

1,746

Provision for credit losses

2,009

9,391

Loss on disposal of assets

2,219

1,916

Loss on dissolution of subsidiary

301

–

Impairment losses

11,733

13,749

Deferred income taxes

(7,528)

(11,001)

Excess tax benefit from equity-based awards

1,705

(1,122)

Equity-based compensation expense

22,071

17,571

Gain on foreign currency derivatives

(3)

(7)

Changes in assets and liabilities, net of acquisitions:

Accounts receivable

22,359

(74,564)

Prepaids and other assets

8,570

43,699

Accounts payable and accrued expenses

9,518

(12,695)

Deferred revenue and other liabilities

(58,659)

(83,842)

Net cash provided by operating activities

144,765

137,048

Cash flows from investing activities:

Proceeds from sale of property and equipment

261

229

Purchases of property, plant and equipment

(67,839)

(84,012)

Acquisitions

–

(142,420)

Net cash used in investing activities

(67,578)

(226,203)

Cash flows from financing activities:

Net proceeds from / (repayments of) line of credit

35,000

169,000

Payments on other debt

(2,317)

(3,245)

Payments of contingent consideration and hold back payments to acquisitions

(37,676)

(9,600)

Dividends paid to shareholders

(49,232)

(48,072)

Payments to noncontrolling interest

(10,972)

(11,883)

Tax payments related to the issuance of restricted stock units

(3,037)

(7,164)

Net cash (used in) / provided by financing activities

(68,234)

89,036

Effect of exchange rate changes on cash, cash equivalents and restricted cash

(2,112)

(13,499)

Increase / (decrease) in cash, cash equivalents and restricted cash

6,841

(13,618)

Cash, cash equivalents and restricted cash, beginning of period

167,064

180,682

Cash, cash equivalents and restricted cash, end of period

$ 173,905

$ 167,064

TTEC HOLDINGS, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP FINANCIAL INFORMATION

(In thousands, except per share data)

Three months ended

Twelve months ended

December 31,

2023

2022

2023

2022

Revenue

$ 626,181

$ 658,278

$ 2,462,817

$ 2,443,707

Reconciliation of Non-GAAP Income from Operations and EBITDA:

Income from Operations

$ 16,924

$ 48,745

$ 118,021

$ 168,543

Restructuring charges, net

3,145

1,412

8,041

5,673

Impairment losses

650

450

11,733

13,749

Cybersecurity incident related impact, net of insurance recovery

–

(446)

(3,210)

(3,610)

Software accelerated amortization

–

6,382

–

8,509

Write-off of acquisition related receivable

–

900

Property costs not related to operations

757

–

1,501

–

Liability related to notifications triggered by labor scheme (1)

6,000

–

6,000

–

Grant income for pandemic relief

–

Change in acquisition related obligation

–

483

–

Equity-based compensation expenses

5,661

4,331

22,071

17,571

Amortization of purchased intangibles

8,676

9,038

35,759

37,169

Non-GAAP Income from Operations

$ 41,813

$ 69,912

$ 200,439

$ 248,504

Non-GAAP Income from Operations Margin

6.7 %

10.6 %

8.1 %

10.2 %

Depreciation and amortization

15,894

16,310

64,840

66,113

Changes in acquisition contingent consideration

616

(272)

7,480

1,798

Change in escrow balance related to acquisition

–

625

–

Loss on dissolution of subsidiary

–

301

–

Foreign exchange loss / (gain), net

1,112

1,710

1,950

(6,514)

Other income (expense), net

(1,894)

(1,156)

(4,126)

10,161

Adjusted EBITDA

$ 57,541

$ 86,504

$ 271,509

$ 320,062

Adjusted EBITDA Margin

9.2 %

13.1 %

11.0 %

13.1 %

Reconciliation of Non-GAAP EPS:

Net (Loss) / Income

$ (8,206)

$ 25,550

$ 18,264

$ 117,333

Add: Asset impairment and restructuring charges

3,795

1,862

19,774

19,422

Add: Equity-based compensation expenses

5,661

4,331

22,071

17,571

Add: Amortization of purchased intangibles

8,676

9,038

35,759

37,169

Add: Cybersecurity incident related impact, net of insurance recovery

–

(446)

(3,210)

(3,610)

Add: Software accelerated amortization

–

6,382

–

8,509

Add: Write-off of acquisition related receivable

–

900

Add: Property costs not related to operations

757

–

1,501

–

Add: Liability related to notifications triggered by labor scheme

6,000

–

6,000

–

Add: Grant income for pandemic relief

–

Add: Change in acquisition related obligation

–

483

–

Add: Changes in acquisition contingent consideration

616

(272)

7,480

1,798

Add: Changes in escrow balance related to acquisition

–

625

–

Add: Loss on dissolution of subsidiary

–

301

–

Add: Foreign exchange loss / (gain), net

1,112

1,710

1,950

(6,514)

Less: Changes in valuation allowance, return to provision adjustments and

other, and tax effects of items separately disclosed above

(885)

(4,909)

(7,859)

(22,872)

Non-GAAP Net Income

$ 17,526

$ 43,246

$ 103,179

$ 169,706

Diluted shares outstanding

47,503

47,299

47,419

47,335

Non-GAAP EPS

$0.37

$0.91

$2.18

$3.59

Reconciliation of Free Cash Flow:

Cash Flow From Operating Activities:

Net (Loss) / Income

$ (8,206)

$ 25,550

$ 18,264

$ 117,333

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

24,904

31,730

101,272

111,791

Other

14,836

(39,045)

25,229

(92,076)

Net cash provided by operating activities

31,534

18,235

144,765

137,048

Less – Total Cash Capital Expenditures

13,117

19,448

67,839

84,012

Free Cash Flow

$ 18,417

$ (1,213)

$ 76,926

$ 53,036

(1) – For further information, please see discussion in the Risk Factors section of the 2023 Form 10-K filed on February 29, 2024.

Reconciliation of Non-GAAP Income from Operations and Adjusted EBITDA by Segment :

TTEC Engage

TTEC Digital

TTEC Engage

TTEC Digital

Q4 23

Q4 22

Q4 23

Q4 22

YTD 23

YTD 22

YTD 23

YTD 22

Income from Operations

$ 6,942

$ 38,821

$ 9,982

$ 9,924

$ 88,175

$ 133,648

$ 29,846

$ 34,895

Restructuring charges, net

1,823

1,130

1,322

282

4,250

5,251

3,791

422

Impairment losses

700

(50)

426

8,929

13,112

2,804

637

Cybersecurity incident related impact, net of insurance recovery

–

(446)

–

(3,210)

(3,610)

–

Software accelerated amortization

–

5,106

–

1,276

–

6,808

–

1,701

Write-off of acquisition related receivable

–

900

Property costs not related to operations

757

–

1,501

–

Grant income for pandemic relief

–

Change in acquisition related obligation

–

483

–

Liability related to notifications triggered by labor scheme

6,000

–

6,000

–

Equity-based compensation expenses

3,658

2,659

2,003

1,672

14,257

11,476

7,814

6,095

Amortization of purchased intangibles

4,264

4,658

4,412

4,380

18,215

17,272

17,544

19,897

Non-GAAP Income from Operations

$ 24,144

$ 51,952

$ 17,669

$ 17,960

$ 138,157

$ 183,957

$ 62,282

$ 64,547

Depreciation and amortization

13,458

13,667

2,436

2,643

55,153

54,561

9,687

11,552

Changes in acquisition contingent consideration

616

(272)

–

7,480

1,798

–

Change in escrow balance related to acquisition

–

625

–

Loss on dissolution of subsidiary

–

301

–

Foreign exchange loss / (gain), net

1,271

1,606

(159)

104

2,085

(5,540)

(135)

(974)

Other income (expense), net

(1,728)

(1,063)

(166)

(93)

(4,060)

9,352

(66)

809

Adjusted EBITDA

$ 37,761

$ 65,890

$ 19,780

$ 20,614

$ 199,741

$ 244,128

$ 71,768

$ 75,934

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SOURCE TTEC Holdings, Inc.

Technology

Doo Group Strengthens Global Reach with CySEC License for Doo Financial

Published

45 minutes ago

November 15, 2024

LIMASSOL, Cyprus , Nov. 15, 2024 /PRNewswire/ — Doo Group is proud to announce that Doo Financial, one of its brands, has been awarded a new license by the Cyprus Securities and Exchange Commission (CySEC). This achievement strengthens Doo Group’s commitment to providing a secure and regulated trading environment for its clients globally.

Expanding Regulatory Reach

The addition of the CySEC license highlights Doo Group’s extensive regulatory framework, which already spans across multiple financial jurisdictions, including the United Kingdom, Australia, Hong Kong and Malaysia. This strategic milestone reflects Doo Group’s dedication to ensuring compliance with international regulatory standards and prioritizing client security. As a European Supervisory Authority, CySEC offers a robust regulatory environment and is expected to enhance client confidence. For Doo Group, this new regulatory milestone reinforces its reputation as a trusted, reliable financial services provider.

“Acquiring the new license from CySEC is a significant milestone for Doo Financial, marking a key step in our ongoing growth and strategic expansion. This achievement not only reinforces our commitment to maintaining the highest standards of regulatory excellence but also solidifies our position as a trusted, reliable financial institution within Europe. By aligning with CySEC’s rigorous requirements, we are better positioned to offer enhanced services to our clients, foster greater transparency, and ensure long-term stability in an increasingly complex and dynamic financial landscape.” Costas Kappai, Doo Financial EU

Strengthening Client Confidence

Doo Financial EU, the European branch of Doo Financial, is now positioned to serve clients across Europe under the guidelines of a European Supervisory Authority. European clients will benefit from CySEC’s regulatory protections, including client fund safety and transparent business practices, ensuring a secure and trustworthy trading experience. This development allows Doo Financial EU to offer its suite of financial services and trading products to a wider audience, backed by the credibility and oversight of CySEC.

By expanding its regulatory reach, Doo Group continues to strengthen its position in the global financial market, enabling clients to trade with confidence. The CySEC license is another step toward achieving Doo Group’s vision of becoming a leader in financial services.

About Doo Group

Founded in 2014 and headquartered in Singapore, Doo Group is an international financial services provider with a focus on FinTech. With operations across 10 major business lines—including Brokerage, Wealth Management, Payments, and Digital Marketing—we are dedicated to delivering comprehensive financial solutions that empower our clients to explore a better future.

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Technology

Liberty General Insurance Continues to Drive Insurance Awareness and Inclusion with ‘Suraksha ka Vaada Bima ke Saath’ Initiative Across Delhi and Punjab

Published

45 minutes ago

November 15, 2024

NEW DELHI, Nov. 15, 2024 /PRNewswire/ — Liberty General Insurance, one of the leading non-life insurance companies in India and the lead insurer for Delhi under the Insurance Regulatory and Development Authority of India’s (IRDAI) State Insurance Plan, is spearheading an insurance awareness initiative in Delhi. While there are no gram panchayats in Delhi, Liberty continues to drive insurance awareness through grassroots and digital outreach.

In parallel, Liberty is fulfilling its rural and social obligations by focusing on underserved areas in Punjab. This effort includes a recently initiated awareness campaign across 400 gram panchayats in Punjab to expand insurance penetration and increase accessibility in these regions.

In Delhi, Liberty continues to create awareness under ‘Suraksha ka Vaada Bima ke Saath’ initiative launched in 2023. This October Liberty began with a Door-to-Door Campaign across North-West and North East Delhi, reaching over 1600 households in Karala Village, Budh Vihar, Kanjawala Village and Begumpur, Burari, Kanhiya Nagar, Rampura, and Jahangirpuri, achieving over 25000 impressions. Over nearly a month, Liberty’s teams engaged with residents, distributing leaflets and explaining the benefits of motor and health insurance. This campaign was followed by the ‘Nukkad Natak’ (Street Play) initiative in South Delhi, targeting key neighborhoods of Sarojini Nagar, Lajpat Nagar, Nirman Vihar, Lakshmi Nagar, and Begumpur chowk market. The street plays used interactive performances to educate communities on the importance of insurance and dispel common myths. To reinforce the message, Liberty’s team also disseminated copies of the ‘Wise Ways of Insurance’ booklet—a unique resource developed to demystify insurance products and promote informed decision-making. The booklet, which is being translated into vernacular languages, is also being distributed in other states as part of Liberty’s commitment to financial literacy across India.

Complementing its on-ground efforts, Liberty General Insurance continues to leverage social media to drive targeted insurance awareness campaigns. Recognizing that widespread mobile access allows more people to connect online, Liberty reaches both rural and urban audiences, empowering individuals everywhere with the knowledge needed to make informed financial decisions.

Commenting on this awareness drive, Mr. Parag Ved, CEO & Whole-Time Director, Liberty General Insurance said, “Our ‘Suraksha ka Vaada Bima ke Saath’ campaign is an effort in line with IRDAI’s ‘Insurance for All by 2047’ vision, towards empowering communities across Delhi, Punjab, and beyond with the financial security that insurance provides. With general insurance penetration in India still at less than 1% of its GDP, there is a pressing need to educate communities and break down the barriers to understanding the importance of insurance. Liberty will ensure that its wide distribution network makes policies accessible to all, so that every citizen—no matter where they are—can access the financial safety net that insurance offers.”

“Liberty is committed to fostering a culture of financial resilience where every Indian can feel secure about their future. Together, we are building a future where insurance isn’t just a product but a promise of protection and peace of mind,” Mr. Ved added.

Looking ahead, Liberty will be rolling out a transit media campaign across South Delhi in December, utilizing branded auto rickshaws to increase visibility and connect with residents in this vibrant area of the capital. By leveraging transit media, Liberty aims to bring insurance awareness into people’s daily routines, making information accessible in familiar, everyday settings. This campaign builds on the success of previous awareness initiatives and reinforces Liberty’s commitment to educating and empowering individuals about insurance.

About Liberty General Insurance

Liberty General Insurance Ltd. (LGI) is a joint venture between Summit Asia Investment Holdings PTE Ltd.— a group company of Liberty Mutual Insurance Group, a diversified global insurer with over 900 offices across the world, headquartered in the U.S., Enam Securities, and Diamond Dealtrade. LGI commenced operations in 2013 with the aim of providing comprehensive retail, commercial and industrial insurance solutions. The company has an employee strength of 1100+ with presence across 100+ locations in 28 states and UTs. Its partner network consists of about 6000+ hospitals and more than 5000 auto service centres. The company offers health and personal accident insurance, car and two-wheeler insurance, employee compensation insurance, commercial insurance, engineering insurance, marine insurance, liability insurance and property insurance among other products in India.

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Technology

Hikvision unveils WonderHub and elevates smart collaboration across industries

Published

45 minutes ago

November 15, 2024

HANGZHOU, China, Nov. 15, 2024 /CNW/ — Hikvision unveiled its fully upgraded smart collaboration business. The event showcased a range of innovative products designed to transform collaboration in education, meetings, retail, and more. Among the highlights were cutting-edge solutions like WonderHub interactive displays, digital signage, and video conference devices. These products underscore Hikvision’s commitment to driving digital transformation and enhancing user experiences in an increasingly connected world.

At the heart of this ecosystem is WonderHub, which features WonderOS, an AI-powered platform that seamlessly connects devices and enhances collaboration. With tools like WonderSpark for interactive whiteboards and WonderCast for wireless content sharing, WonderHub enables users to communicate, create, and collaborate more effectively than ever.

Boosting Classroom Engagement with Innovative Solutions

In education, WonderHub is designed to elevate classroom experiences. The interactive displays enable students to share and express ideas effortlessly, creating a more engaging and dynamic learning environment. The built-in WonderSpark smart whiteboard software uses AI to recognize equations, provide solutions, and generate interactive 3D teaching materials across subjects like mathematics, chemistry, and natural sciences. Teachers can also access licensed images and videos through Creative Commons integration, enriching lesson content and boosting student engagement.

Classrooms equipped with WonderHub also benefit from multi-window modes and a suite of 19 educational tools. These include subject-specific templates and interactive applications. For remote learning, WonderHub integrates seamlessly with third-party conferencing platforms, allowing students to collaborate in real-time, no matter their location.

Empowering Business Meetings with Intelligent Features

Hikvision’s smart collaboration solutions transform business meetings into more efficient and immersive experiences. The WonderHub Ultra Series allows users to easily connect personal devices and leverage the interactive display’s camera, speakers, and microphone for high-quality remote conferencing. The HiSpire meeting management system streamlines meeting logistics, including room scheduling, attendee notifications, post-meeting summaries, and distribution of materials.

Advanced AI features, such as auto-framing and speaker tracking, ensure optimal video quality. Meanwhile, app-free screen casting allows for easy sharing of presentation materials. The X12 and X28 audio-video cameras offer enterprises tailored setups to suit meeting rooms of any size, ensuring seamless communication with high-definition video and precise audio capture.

Transforming Retail Spaces with Dynamic Digital Signage

Hikvision has also advanced its digital signage solutions to enhance customer engagement in retail scenarios. The vibrant displays and centralized content management allow retailers to effectively capture attention. High-brightness window displays attract passersby with promotions and new product highlights. Meanwhile, floor-standing signage supports interactive features, such as self-service ordering. The HikCentral FocSign platform enables retailers to remotely manage and distribute content across multiple locations, improving operational efficiency and ensuring consistent branding.

These digital signage solutions, including the DP and DL series, boast superior brightness and clarity, ensuring visibility even in strong lighting conditions. The displays run on Hikvision’s self-developed platform and support WonderCast wireless casting, enabling quick and easy content sharing from various devices.

Since entering the smart collaboration market in 2017, Hikvision has rapidly become a leading global player. With over 300,000 units sold across more than 140 countries and regions, Hikvision’s smart collaboration business exemplifies the company’s commitment to innovation, quality, and user-centric design. As a key highlight of this evolution, the fully upgraded WonderHub represents the next leap forward in smart collaboration technology.

By bridging advanced technology with practical applications, WonderHub, along with Hikvision’s broader range of smart collaboration solutions, is leading the way in providing more efficient and intelligent solutions for users worldwide.

For more information about Hikvision’s smart collaboration products and solutions, please visit Hikvision’s official website.

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SOURCE Hikvision Digital Technology